Toyota to build RAV4/Tesla electric in Canada, not California

Toyota and Tesla said today the coming Tesla-powered RAV4 electric SUV will be built at the Woodstock, Ontario, Canada plant where Toyota builds the current gasoline RAV4 -- and not at the Fremont, Calif., plant Tesla bought from Toyota.

The RAV4 EV, due on sale next year, will have a drivetrain and battery system bought by Toyota from Tesla. Toyota has not said how many it will make, though recently responded to rumors that it would be a fleet-only model by saying it will be sold at retail to individuals in some markets. It has yet to price the EV or announce in what regions it will be sold.

Tesla is preparing the Fremont plant to make its coming Model S sedan. A former General Motors assembly plant, Fremont later was operated by Toyota under its NUMMI joint venture with GM. At that time, it made Corollas, Matrix and Chevrolet and Pontiac models based on those cars. The venture was a casualty of GM's bankruptcy.

Tesla, with the help of federal Energy Department loans, is refitting the plant and said, as part of its recent earnings release, that the Model S is on schedule to begin sales next year.

Tesla will produce the electric powertrains at its Palo Alto, Calif., plant and ship them to the Canadian plant, the companies said. That system will "streamline and simplify the production process and guarantee the highest level of quality control," said a statement from Ray Tanguay, chairman of Toyota Motor Manufacturing Canada, who hosted Canadian officials at the plant today.

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About Chris Woodyard

Chris Woodyard is an auto writer for USA TODAY who covers all aspects of motoring. He revels in the exhaust note of a Maserati and the sharp creases of a Cadillac CTS. Chris strives to live a Porsche life on a Scion budget. More about Chris